Welcome to Furniture industry news for August 25, 2025.

We've got some fresh updates rolling in that tie right into the big stories shaking up the industry, from tariffs to domestic expansions and even some positive vibes from the housing market.

If you're knee deep in manufacturing, retail or supply chains, this'll get you caught up quick.

Let's jump in with the headline that's got everyone talking.

President Trump dropped a big one this weekend on Truth Social, announcing a tariff investigation into imported furniture that could wrap up in just 50 days.

He's pushing this to revive the industry in states like North Carolina, South Carolina and Michigan, saying it'll bring jobs back home, in his words.

I'm pleased to announce that we are doing a major tariff investigation on furniture coming into the United States.

Within the next 50 days, that investigation will be completed and furniture coming from other countries into the United States will be tariffed at a rate yet to be determined.

This could mean new duties on a ton of home products on top of what's already out there.

The industry's already dealing with slow demand, weak housing and inflation hitting big ticket buys.

So this adds another layer.

Market reactions were swift and telling.

Shares for import heavy players tanked in after hours trading, wayfair down about 6%, RH around 7.5% and Williams Sonoma slipping 4%.

These companies have been diversifying their supply chains, but they're still vulnerable.

On the brighter side, La Z Boy, with most production stateside, actually saw a 2% bump.

It's a split story.

Importers hurt domestics potentially gaining ground.

But not all US Makers are celebrating.

Howard Miller, that century old clock and furniture company out of Michigan just announced they're shutting down plants by early next year, citing tariffs, inflation and soft Housing.

That's 195 jobs gone, including 39 in North Carolina spots like High Point and Lexington.

This tariff talk isn't new, but it's forcing domestic manufacturers to roll with the punches.

A lot are grappling with higher costs on components like drawer guides or handles that still come from abroad to adapt.

They're ramping up US Sourcing and tweaking operations.

Take the Parker brands.

They've bumped domestic fabric sourcing to 50% and are building 95% of frames in house, even ditching grade labels for QR codes to make things easier for buyers.

Legends Furniture is eyeing a new east coast plant hunting for grants.

In North Carolina, Omnia's stocking more inventory and buying local to smooth cash flow, while Hancock and Moore simplified their leather lines and leaned into faster domestic shipping.

Vanguards using dynamic pricing to handle cost hikes without skimping on quality.

It's all about staying nimble.

Some are even seeing imported fabrics price out similar to US Ones now, which simplifies decisions but squeezes margins.

Global sourcing hangs on for specialties like European leathers or Indian silks, but the push is clear more made here to dodge tariff hits.

That ties into some good news on the expansion front, where deep pocketed companies are fueling growth in domestic upholstery.

Strong cash reserves are letting firms like CR Lane Bassett, McKinley Leather and Rockhouse, which includes Century Furniture, invest big.

Bassett's CEO Rob Spillman talks about how cash helps cover payroll in tough spots, while Alex Schuford III at Family of Brands stresses it for hiring, stocking up and riding out volatility.

Lori Sadowski from McKinley Leather says it's key for snapping up deals like Extra Leathers and building solid partnerships.

These moves are creating jobs and letting them offer quick, custom options that grab market share, especially with tariffs and shipping costs rising.

But challenges persist.

Low consumer confidence, material price jumps and that global uncertainty mean they have to stay flexible, like Bassett planning new lines such as the Hideaway Dining Program or Rock House, tweaking for efficiency over in case goods and casual suppliers, things are holding steady despite the soft market and high interest rates.

They're leaning on their tariff free edge for stability, focusing on smaller modular pieces that fit today's tinier homes.

Legends Home's got stuff like the Asher Entertainment center that's all about customization for dealers and online sales.

Von Bassett is strong in bedrooms with fast delivery, though they're dealing with pricier imported hardware.

So Poly out of Georgia is growing their outdoor Poly Lumber line by making HDPE in house and sourcing stainless steel domestically.

Marketing director Nick Payne says it locks in pricing and supply.

A Phoenix Kids bedroom maker is specializing in bunks and storage, betting on steady retailer ties.

Looking ahead, folks like Vaughn, Bassett and Sopoly are hiring and upgrading systems to boost capacity, emphasizing Made in USA to build loyalty.

It's less about wild innovation right now.

Dealers are cautious on inventory, so communication and specialization are the name of the game.

Shifting to the bigger picture, the housing market's showing signs that could lift furniture demand.

Existing home sales ticked up 0.8% year over year in July, hitting 4.01 million, the first annual gain since January.

That's up 2% from June, with regional wins in the South, Northeast and Midwest.

Median price is 422,400, just a 0.2% bump and inventories at 1.55 million units, a 15.7% jump from last year.

Single family homes led the charge at 3.64 million sales.

More homes on the market Overall, Purzillo's five year high and surging price cuts means more move ins, especially for first timers or upgraders.

That could spark the home as a project vibe, driving demand for design help and bigger buys.

But watch out.

High rates might keep some renters in place, and overpriced listings could stall things for us.

In furniture, it's a cue to sharpen value focused assortments, push versatile pieces and ease buying with finance or delivery perks.

All this points to an industry in flux tariffs pushing domestics to adapt and expand while housing tweaks offer hope for sales.

If you're sourcing or selling, now's the time to check your strategies.

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Talk to you soon.